Gati Limited
Gati Limited Fundamental Analysis
Gati Limited (GATI.NS) shows weak financial fundamentals with a PE ratio of 122.32, profit margin of 0.86%, and ROE of 2.32%. The company generates $17.0B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 35.6/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze GATI.NS's fundamental strength across five key dimensions:
Efficiency Score
WeakGATI.NS struggles to generate sufficient returns from assets.
Valuation Score
WeakGATI.NS trades at a premium to fair value.
Growth Score
WeakGATI.NS faces weak or negative growth trends.
Financial Health Score
ExcellentGATI.NS maintains a strong and stable balance sheet.
Profitability Score
ModerateGATI.NS maintains healthy but balanced margins.
Key Financial Metrics
Is GATI.NS Expensive or Cheap?
P/E Ratio
GATI.NS trades at 122.32 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, GATI.NS's PEG of 8.56 indicates potential overvaluation.
Price to Book
The market values Gati Limited at 2.80 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 15.19 times EBITDA. This signals the market has high growth expectations.
How Well Does GATI.NS Make Money?
Net Profit Margin
For every $100 in sales, Gati Limited keeps $0.86 as profit after all expenses.
Operating Margin
Core operations generate 7.45 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $2.32 in profit for every $100 of shareholder equity.
ROA
Gati Limited generates $1.10 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Gati Limited generates limited operating cash flow of $728.72M, signaling weaker underlying cash strength.
Free Cash Flow
Gati Limited generates weak or negative free cash flow of $482.07M, restricting financial flexibility.
FCF Per Share
Each share generates $3.70 in free cash annually.
FCF Yield
GATI.NS converts 2.69% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
122.32
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
8.56
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.80
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.05
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.61
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.20
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.02
vs 25 benchmark
ROA
Return on assets percentage
0.01
vs 25 benchmark
ROCE
Return on capital employed
0.14
vs 25 benchmark
How GATI.NS Stacks Against Its Sector Peers
| Metric | GATI.NS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 122.32 | 24.98 | Worse (Expensive) |
| ROE | 2.32% | 1284.00% | Weak |
| Net Margin | 0.86% | -45683.00% (disorted) | Weak |
| Debt/Equity | 0.61 | 0.79 | Strong (Low Leverage) |
| Current Ratio | 1.20 | 10.67 | Neutral |
| ROA | 1.10% | -1542352.00% (disorted) | Weak |
GATI.NS outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Gati Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Cyclical, Value, Infrastructure
EPS CAGR
N/A
Industry Style: Cyclical, Value, Infrastructure
FCF CAGR
N/A
Industry Style: Cyclical, Value, Infrastructure